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Car insurance in Newfoundland

Want to get car insurance in Newfoundland? Compare providers to find the best plan for your unique set of needs and budget.

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Newfoundland

Quick facts for car insurance in Newfoundland

$200,000

Minimum liability coverage

$1,168

Average annual car insurance cost

Newfoundland has mid-level insurance premiums compared to many provinces in Canada, though it boasts the highest rates in the Atlantic. The relatively low prices it offers for car insurance are likely because you aren’t required by law to include accident or personal injury benefits with your mandatory coverage.

This means that you’ll save money on your premiums but you won’t automatically have coverage to protect you if you get sued for injuring another driver in an accident. This could cause you problems in the long run so it’s recommended that you add this coverage to your insurance even if it’s not a mandatory legal requirement.

Average cost of car insurance in Newfoundland

You’ll pay an average of $1,168 per year for car insurance in Newfoundland (according to a report from the Insurance Bureau of Canada). This number is a rough estimate based on the total amount of premiums collected in the province divided by the number of personal vehicles insured.

Many drivers only choose to get third-party liability coverage to reduce their monthly premiums. This might make sense for you if you have an old or inexpensive car. You may want to consider paying more for collision and comprehensive coverage if your vehicle is worth more. It’s also recommended that you purchase personal injury benefits as an add-on.

These benefits aren’t required by law in Newfoundland but they are in all other Canadian provinces, and for good reason. Without them, you would have to pay out of pocket for medical bills and time off work if you were hurt in an at-fault accident. This could cost you hundreds of thousands of dollars in the long run, depending on the severity of your injuries.

Which city has the cheapest car insurance in Newfoundland?

Car insurance quotes in St. Johns

St. Johns is a large city in Newfoundland so you’ll pay more for insurance there than you will in smaller cities such as Grand Falls-Windsor and Gander. This is due to riskier conditions for driving which include more traffic, narrower streets and more pedestrians.

ProviderAnnual insurance rate
Facility Association$2,275
The Dominion$2,279
Aviva Traders$2,434
S&Y Insurance$2,970

Car insurance quotes in Mount Pearl

Mount Pearl has the same prices for our driver as St. Johns. This is likely because it lies in close proximity to the city and has many of the same risk factors.

ProviderAnnual insurance rate
Facility Association$2,275
The Dominion$2,279
Aviva Traders$2,434
S&Y Insurance$2,970

Car insurance quotes in Grand Falls-Winsor

Grand Falls-Windsor has insurance premiums that are almost half as expensive as those in St. John’s for the same driver. This is likely because the population is smaller which means there are fewer opportunities to get into accidents.

ProviderAnnual insurance rate
Facility Association$1,062
Aviva Traders$1,272
The Dominion$1,286

Car insurance quotes in Gander

Gander has similar rates to Grand Falls-Windsor – again, this is likely because its population is much smaller than other cosmopolitan hubs in the province.

ProviderAnnual insurance rate
Facility Association$1,062
Aviva Traders$1,272
The Dominion$1,286

Which company offers the cheapest car insurance in Newfoundland?

According to our comparison, the company that offers the cheapest car insurance in Newfoundland is Facility Association. That said, this won’t always be the case and depends largely on the personal factors that you input to generate your quote. For example, you might have better rates with Aviva if you’ve got less driving experience or are under the age of 25.

The best way to make sure you’re getting the best deal is to compare providers using your own personal details. This will make sure that you find the cheapest car insurance that’s tailored to your own unique set of needs, driving history, car type and budget.

Where can I buy car insurance in Newfoundland?

You can purchase car insurance from a number of private companies in Newfoundland. These include The Co-operators, Economical, Allstate, Aviva and all of the providers listed in our analysis above (plus many more). You’ll also be able to apply for insurance with any large bank in Canada, though your insurance premiums will typically be higher with these providers.

It’s easy to compare several quotes at one time by signing up with an online third-party broker. You can also choose to compare prices manually by contacting the insurance companies you’re working with individually. Just be aware that you may end up having to deal with pushy salespeople if you choose to go this route.

Minimum provincial requirements for car insurance in Newfoundland

There’s a minimum level of car insurance coverage that you’ll need to drive a vehicle in Newfoundland. This includes the following:

  • Liability insurance. Covers your costs if you need to pay for the injuries or vehicle damage of another driver in an accident that’s your fault (minimum $200,000).
  • Uninsured motorist protection. Pays for your medical expenses if you’re injured in a collision with an uninsured driver.

Do I need personal injury or accident benefits?

Newfoundland is the only province in Canada that doesn’t legally require you to have personal injury/accident benefits. This means that you won’t automatically get financial assistance with your own medical bills and time off work if you get injured in a collision that’s your fault. For this reason, it’s highly recommended that you add this insurance to your policy even if it’s not required – just to be safe.

Are there eligibility requirements for car insurance in Newfoundland?

Eligibility requirements

To apply for car insurance in Newfoundland, you’ll typically need to meet the following criteria:

  • Be at least 16 years old
  • Have a valid Canadian driver’s licence
  • Own the vehicle you wish to insure
  • Be willing to purchase the minimum amount of liability coverage

How to apply

If you think you meet the eligibility criteria, you can apply for car insurance coverage with these simple steps:

  1. Visit the website for the car insurance provider of your choice to submit an application for a quote online.
  2. Provide the necessary documentation – such as a valid driver’s licence and proof of purchase for your vehicle.
  3. Get verified and work with your car insurance provider to negotiate the terms of your car insurance if you meet the eligibility requirements.

Bottom line

Newfoundland offers mid-range rates for car insurance compared to other provinces in Canada. That said, it’s also the only province that doesn’t require you to purchase insurance to cover your own injuries in a collision that’s deemed to be your fault. You’ll usually have to pay more for these benefits – which are highly recommended – which could drive the average rate of your insurance up.

Frequently asked questions

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